The stock has witnessed a decent correction from the peak of 4,300 and has bottomed out near 3,750 levels forming a higher bottom formation in the daily chart. The chart looks attractive with the RSI also improving the bias and indicating a trend reversal to signal a buy. We suggest to buy and accumulate this stock for an upside target of 4,250-4,350, keeping the stop loss of 3,600.
BUY SHRIRAM TRANS FINANCE | CMP: Rs 1,325 | Target: Rs 1,480-1,550 | Stop Loss: Rs 1,250
The stock has corrected well recently and has bottomed out near the trendline support levels near 1,250, forming a higher bottom formation in the daily chart. It has shown signs of picking up momentum to improve the bias and we anticipate further upside move in the coming days. The chart looks attractive with the RSI indicating a trend reversal to signal a buy. We suggest to buy and accumulate this stock for an upside target of 1,480-1,550, keeping the stop loss of 1,250.
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Disclaimer: The author is a technical analyst with Prabhudas Lilladher. She may have positions in one or more stocks mentioned above. Views are personal.
 "The stock of Shriram Transport Finance has corrected well recently and has bottomed out near the trendline support levels near 1250")